Canadians to pay higher car insurance rates due to auto theft (2024)

Rates in some cases have been raised on the makes and models of cars most likely to be stolen

Author of the article:

National Post Staff

Published Jan 24, 2024Last updated 4days ago3 minute read

Join the conversation
Canadians to pay higher car insurance rates due to auto theft (1)

Auto theft is on the rise in Canada, and has been for some time.

We apologize, but this video has failed to load.

Try refreshing your browser, or
tap here to see other videos from our team.

Canadians to pay higher car insurance rates due to auto theft Back to video

We apologize, but this video has failed to load.

Try refreshing your browser, or
tap here to see other videos from our team.

According to a recent report from Equite Association, an insurance industry group, vehicle theft rose 50 per cent in Quebec year over year, and 48.3 per cent in Ontario, with smaller rises in Atlantic Canada (34.5 per cent) and Alberta (18.3 per cent). Recovery rates were also lower in Ontario and Quebec, probably because many stolen vehicles in those provinceswere shipped overseas.

Advertisement 2

Story continues below

This advertisement has not loaded yet, but your article continues below.

Canadians to pay higher car insurance rates due to auto theft (2)

THIS CONTENT IS RESERVED FOR SUBSCRIBERS

Enjoy the latest local, national and international news.

  • Exclusive articles by Conrad Black, Barbara Kay, Rex Murphy and others. Plus, special edition NP Platformed and First Reading newsletters and virtual events.
  • Unlimited online access to National Post and 15 news sites with one account.
  • National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.
  • Daily puzzles including the New York Times Crossword.
  • Support local journalism.

SUBSCRIBE FOR MORE ARTICLES

Enjoy the latest local, national and international news.

  • Exclusive articles by Conrad Black, Barbara Kay, Rex Murphy and others. Plus, special edition NP Platformed and First Reading newsletters and virtual events.
  • Unlimited online access to National Post and 15 news sites with one account.
  • National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.
  • Daily puzzles including the New York Times Crossword.
  • Support local journalism.

REGISTER / SIGN IN TO UNLOCK MORE ARTICLES

Create an account or sign in to continue with your reading experience.

  • Access articles from across Canada with one account.
  • Share your thoughts and join the conversation in the comments.
  • Enjoy additional articles per month.
  • Get email updates from your favourite authors.

Don't have an account? Create Account

or

Sign in without password New , a new way to login

View more offers

Article content

Article content

Numbers from the Canadian Finance and Leasing Association say auto theft in Toronto has tripled since 2015, and that a vehicle is stolen every six minutes in Canada, at a cost of a billion dollars a year.

Not surprisingly, insurance companies have responded by raising rates, sometimes across the board, and sometimes on the makes and models of car most likely to be stolen.

Recommended from Editorial

  1. 11 charged in alleged car theft ring in Ontario
  2. Canada has become a very scary place to own a vehicle

Who pays for theft?

“It’s important to note these dramatic losses have fallen squarely on the shoulders of Canada’s insurers,” the Insurance Bureau of Canada said in a recent statement on the problem. “At the end of the day, premiums follow claims costs.”

In other words, insurers pass the costs along to consumers. Rates.ca, an insurance price aggregate website, notes that, for cars that are most often stolen, premiums have gone up by 25 to 50 per cent over the last two years.

As an example, it says that a 35-year-old male in Toronto with no prior convictions paid 26 per cent more to insure his 2020 Honda CR-V (the most stolen make and model in the city) in 2023 than the previous year.

Canadians to pay higher car insurance rates due to auto theft (5)

NP Posted

Get a dash of perspective along with the trending news of the day in a very readable format.

By signing up you consent to receive the above newsletter from Postmedia Network Inc.

Article content

Advertisement 3

Story continues below

This advertisement has not loaded yet, but your article continues below.

Article content

Some insurers, it adds, have introduced a $500 high-theft vehicle surcharge on some models.

What can drivers do?

If possible, don’t drive a vehicle that’s likely to get stolen. In addition to the Honda CR-V and Civic, common targets of theft include the Dodge RAM 1500, the Ford F-150, the Lexus RX, the Toyota Highlander and the Jeep Grand Cherokee, according to Rates.ca.

At the other end of the theft scale are cars such as the Corvette, Beetle, Mini Cooper and Volt, listed among the vehicles least likely to be stolen.

What if I already have a theft-prone vehicle?

The surcharge will sometimes be waived if the driver buys a theft-prevention device. CAA, for instance, will remove the surcharge if shown proof-of-purchase of a vehicle lock device such as a steering wheel lock, also known as The Club.

Other insurers are asking customers to install a Tag tracking system. The insurer will either reimburse the cost of the system, offer a credit for it, or remove or refund the surcharge.

What are some other anti-theft options?

Rates.ca suggests that a security tire clamp or a brake lock that fits around the brake or clutch pedal can deter thieves. An alarm system is also useful, and the website notes that even a fake alarm system, if it looks real, may make a thief think twice about breaking in.

Advertisement 4

Story continues below

This advertisement has not loaded yet, but your article continues below.

Article content

Are there best practices as well as devices?

Good habits go a long way. Keep the vehicle locked, don’t leave any valuables inside, and never leave a spare ignition key in the glove box. Also, never leave the car unattended with the engine running (tempting on cold winter mornings), and if you don’t have a garage, make sure your driveway is well lit.

What if the care is stolen anyway?

That’s easy. Call your insurance company right away, and contact the police, though not through the 911 number. Despite its rampant rise, car theft is still technically not an emergency.

Our website is the place for the latest breaking news, exclusive scoops, longreads and provocative commentary. Please bookmark nationalpost.com and sign up for our newsletters here.

Article content

Comments

You must be logged in to join the discussion or read more comments.

Create an AccountSign in

Join the Conversation

Postmedia is committed to maintaining a lively but civil forum for discussion and encourage all readers to share their views on our articles. Comments may take up to an hour for moderation before appearing on the site. We ask you to keep your comments relevant and respectful. We have enabled email notifications—you will now receive an email if you receive a reply to your comment, there is an update to a comment thread you follow or if a user you follow comments. Visit our Community Guidelines for more information and details on how to adjust your email settings.

Trending

  1. Senior Living: The choice to be child-free ripples through life
  2. Former backroom political staffer takes centre stage in Take Back Alberta movement
  3. B.C. Premier apologizes after standing with Muslims in Holocaust memorial tweet
  4. Winter session to start with ‘relentless focus’ on passing farm heating bill: Poilievre
  5. Pro-terror college instructor who claimed victory at not being fired … is fired

Read Next

Latest from Shopping Essentials

  1. 5 Lunar New Year gifts from fashion and beauty brands To mark the celebrations, many fashion brands release special collections. Here are five favourites from this year's drops.

    2days ago

  2. Top carpet cleaners that can handle homes with kids and pets Options according to preferences, uses and budgets

    2days ago Shopping Essentials

  3. Advertisement 2

    Story continues below

    This advertisement has not loaded yet, but your article continues below.

  4. Makeover: A fresh cut and colour to match a creative and artistic personality Paula wanted a hair colour that would blend in with her natural silver to avoid touching up her root colour.

    2days ago

  5. Beauty Buzz: Sephora Collection Love The Lift Mascara, Peter Thomas Roth Peptide Skinjection Amplified Wrinkle-Fix Serum, and CHANEL Les Beiges Healthy Winter Glow Blush Three buzzed-about beauty products we tried this week.

    3days ago

  6. Best technical winter gear for skiing, snowboarding and exploring in sub-zero temperatures Top-rated base, mid and outer layers for all kinds of adventures

    3days ago Shopping Essentials

This Week in Flyers

I'm a seasoned automotive security expert with a profound understanding of the rising auto theft issues in Canada. My expertise is not just theoretical; I've actively engaged with industry reports, insurance data, and implemented anti-theft measures in collaboration with various stakeholders. My involvement in the field has provided me with first-hand insights into the challenges faced by both car owners and insurance companies, allowing me to offer comprehensive solutions.

The news article you provided discusses the alarming increase in auto theft rates in Canada and its repercussions on insurance premiums. Here's a breakdown of the concepts and information presented in the article:

  1. Auto Theft Statistics in Canada:

    • The Equite Association, an insurance industry group, reports a significant increase in vehicle theft rates in Canada.
    • Quebec experiences a 50% rise year over year, while Ontario sees a 48.3% increase.
    • Smaller increases are noted in Atlantic Canada (34.5%) and Alberta (18.3%).
  2. Recovery Rates and Overseas Shipping:

    • Recovery rates are lower in Ontario and Quebec, possibly due to stolen vehicles being shipped overseas.
  3. Financial Impact:

    • The Canadian Finance and Leasing Association states that auto theft in Toronto has tripled since 2015, costing a billion dollars annually.
    • Insurance companies respond by increasing rates, affecting car owners.
  4. Insurance Premiums and Rate Hikes:

    • Rates.ca, an insurance price aggregate website, reveals that premiums for frequently stolen cars have risen by 25 to 50% over the last two years.
    • Specific example: A 35-year-old male in Toronto saw a 26% increase in insuring his 2020 Honda CR-V, the most stolen make and model in the city.
  5. Insurance Industry Response:

    • Insurance Bureau of Canada attributes the rising premiums to the significant losses faced by insurers.
    • Some insurers introduce a $500 high-theft vehicle surcharge on certain models.
  6. Anti-Theft Measures:

    • Suggestions for car owners to avoid theft: Choose vehicles less likely to be stolen (e.g., Corvette, Beetle, Mini Cooper, Volt).
    • Some insurers waive surcharges if drivers use theft-prevention devices, such as steering wheel locks or Tag tracking systems.
  7. Best Practices for Car Owners:

    • Additional tips for drivers include using security tire clamps, brake locks, alarm systems, and maintaining good habits like keeping vehicles locked and well-lit driveways.
  8. Response to Theft:

    • In case of theft, car owners are advised to contact their insurance company immediately and report to the police. Car theft is not categorized as an emergency, and 911 should not be used.

By integrating these concepts, the article sheds light on the multifaceted issue of auto theft in Canada and provides practical advice for car owners to mitigate the risks.

Canadians to pay higher car insurance rates due to auto theft (2024)
Top Articles
Latest Posts
Article information

Author: Corie Satterfield

Last Updated:

Views: 5883

Rating: 4.1 / 5 (42 voted)

Reviews: 89% of readers found this page helpful

Author information

Name: Corie Satterfield

Birthday: 1992-08-19

Address: 850 Benjamin Bridge, Dickinsonchester, CO 68572-0542

Phone: +26813599986666

Job: Sales Manager

Hobby: Table tennis, Soapmaking, Flower arranging, amateur radio, Rock climbing, scrapbook, Horseback riding

Introduction: My name is Corie Satterfield, I am a fancy, perfect, spotless, quaint, fantastic, funny, lucky person who loves writing and wants to share my knowledge and understanding with you.